PPI claim firm bullies sent me a £400 bill
Probes a world of scams and scandals
D.H. writes: Last May I entered into a contract with claims company Action Direct (UK) Limited to determine whether I had a claim for payment protection insurance compensation. Several weeks later the company called requesting information about the lender, Abbey National, which I was unable to supply. I had no more contact until recently when I was called by an Action Direct representative. I said I had heard nothing for more than six months and considered the matter closed. He asked if I wanted to cancel the agreement and, thinking this was a mutual closure, I agreed. Then I received a further call saying that because I cancelled, I owed £400 for work completed. I asked what work and was told Action Direct was not obliged to tell me. If I did not pay, I would be taken to court. ACTION Direct (UK) Limited is licensed as a claims management company. But in 2011 the Ministry of Justice carried out an investigation into its conduct and banned it from taking on any more employment claims work and from representing customers before any employment tribunal or similar body. It is still authorised to handle payment protection i nsurance claims.
The company is based at Bridgend in South Wales, but Companies House filings show it is owned by Fields Holdings Limited which is controlled by Bridgend businessman Jamie Hamilton Wallis. He was a director of Action Direct when t he Ministry of Justice imposed its ban and he stepped down soon afterwards.
The sole director of Action Direct is Natalie Ferry. I repeatedly invited her to comment on what you told me. Just as repeatedly, she did not respond.
A comment did come from Chloe Dyer. She would not say whether she holds any position at Action Direct but claimed she had the authority to speak for Ferry.
She told me: ‘Mr H agreed to be bound by our terms when he signed and returned our documentation. Our terms it [sic] clearly state the fees that shall be applicable if the client wishes to cancel after the initial 14 day cancellation period.’
Dyer refused to say what work Action Direct had carried out.You have told me the company rang you up and asked for details of a loan you had many years ago. You explained that you no longer had the details. That is it. If Action Direct did anything more, then it is not saying so.
I believe Action Direct’s threat to sue you is a cruel bluff. You were steered over the phone into cancelling the agreement – and you are now being steered into handing over £400. But for what?
Action Direct’s contract says: ‘If we do not recover you anything, you do not pay us anything.’
The £400 demand you received is not legally a demand at all. It is a ‘pro forma invoice’.
This is a document used in some trades to show a price before goods or services are provided. It is not a legal invoice and not a demand for payment. Let us see Action Direct try to enforce that in court.
The mysterious Dyer wants you to contact Action Direct ‘to try and reach a satisfactory remedy’.
She is upset that you contacted The Mail on Sunday. Frankly, I would ignore her.
You have given me copies of complaints you sent to the company before you contacted me. All she need do is reply to them. But if you r eceive any more t hreats or demands, l et me know – and perhaps the claims management regulator might be interested too.